Why Does Wisconsin Continue to Fall Short in Job Creation?

The newly released numbers from the U.S. Bureau of Labor Statistics’ Quarterly Census of Employment and Wages has shown again that Wisconsin continues to rank among the worst-performing states for job growth. For the past year, December 2015 through December 2016, Wisconsin increased the number of jobs by less than one half of one percent or .48%. This past year has represented the worst 12-month period for job growth since 2010, which was the middle of the financial crisis.

Gov. Scott Walker won his first election by promising to create 250,000 additional jobs in his first four-year term. Obviously that was just a made up number with no sound strategy to back it up, but he rode that number to victory in 2010. Now, more than six years later, Wisconsin has created only about 180,000 additional jobs, which puts it very close to the bottom in terms of job creation performance among our neighboring Midwestern states.

This failure in job creation was not some unfortunate, random accident. It is the direct result of failed policies of the Republicans who have controlled state government for the past six years. There is a long-discredited theory of job creation championed by the right wing to defend their policies of massive tax breaks for the wealthy and cutting social programs for the rest of us. The theory argues that giving massive tax reductions to the wealthy; dramatically cutting environmental, health, safety and various other business regulations; and cutting government spending, including monies for education, will create a “good business climate” and result in robust job growth. The problem is that the theory just doesn’t work out well in practice. Essentially, these policies are trying to make the state look more like Mississippi or Louisiana, which have some of the lowest job-growth rates in the country. Policies like this are what conservative business economists argue create a strong business climate. And, yes, there are some companies that will respond to these policies, but they are becoming fewer and fewer and progressive business owners view them as the bottom feeders.

The forward-looking companies and entrepreneurs want to live and work in a state that highly values education at all levels, protects the environment, has a fair tax system and efficiently utilizes these taxes for things like modern infrastructure. States that follow these forward-looking policies are some of the states with the highest job-creation rates. There is a reason that states like California are creating a lot of new jobs.

As long as Gov. Walker pursues his current strategy of trying to make Wisconsin look like Mississippi, Wisconsin will continue to be among the weakest states in terms of job creation. When will the voters begin to realize that Wisconsin’s very weak job growth is not an unfortunate accident, but a result of flawed policies?

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Comments (8)

From my time working out in Waukesha and Pewaukee,...

From my time working out in Waukesha and Pewaukee, one thing that the common Wisconsin worker wants are jobs that do not require them to get an "only one right answer" education, jobs that do not require them to be completely sober and hangover free when they show up for work, jobs that do not require them to do any of their own computer data-entry work of re-ordering parts or regulatory compliance documentation, and most importantly, jobs that do not require them to work alongside or in service for minorities or people who are just plain not like them.This is why they voted for Trump, voting for Walker as governor was not going to be enough. Trump is the one that shows hope of purging this country of those who are different, and shows promise of getting rid of the need for regulatory compliance, and in the case of Wisconsin's change from Civil Service exams to resumes and traditional applications and references, gets rid of documented proof or training and skills mastery. They want to get the job on "who you know" and "I can talk the talk", don't ask for them to "walk the walk".But nobody is going to provide an environment of stopping the need for urine testing for drugs or booze. It seems the employers are completely on board with keeping those kinds of rules that the GOP wants... if only to satisfy their wishful myth of "testing keeps out minorities."

WaukeshaGuymore than 1 year ago

Wisconsin has a history of being a full-participat...

Wisconsin has a history of being a full-participation Union manufacturing state.In the GOP mindset (controlled by the top 1%), before jobs can come back here, memories of that kind of life and "labor's power over management and politics" must be driven out of the public consciousness. Just like a saddle horse is more powerful than its master, that powerful beast must have its spirit broken before it can be of use.

WaukeshaGuymore than 1 year ago

The 1960s called and they want Union manufacturing...

The 1960s called and they want Union manufacturing back. Really no kid wants to be asked what does your dad do. Oh he's a bolt tightener on the assembly line. A robot could do his job. We are Americans and we are better than that. We ship those jobs overseas. Even the 1990s when manufacturing meant driving around in a golf cart, carrying a clip board and wearing a hard hat. Then putting on the bowling jacket at 5pm and going to the tavern until midnight. Today we work pushing a mouse and sitting in our home offices.

djlresearchmore than 1 year ago

People riding around with a clipboard or pushing a...

People riding around with a clipboard or pushing a mouse are not perceived as doing anything that makes or delivers product. All that matters to the hard-working man who voted for Trump or Walker is that we stop paying for all those people who don't actually produce the product the customer is paying for. -- Likewise the customer only wants to pay for what it takes to make his product, not all the excess needed to support a CEO and high-paid executives.Perhaps they should out-source the executives to banana republics where they can feel rich for a far lower pay.I remember workplaces going through phases called "Lean Manufacturing", which turned out to be nothing more than making direct labor do their own clerical and regulatory compliance work with no assistance from the office. What I often heard from them is "we need 'Lean Management' instead."

WaukeshaGuymore than 1 year ago

The good people have figured out how to win. It's ...

The good people have figured out how to win. It's easy to find a job because the competition has purple hair, gauged ears, a zit piercing ,tattoos, and a name you can't easily spell. All the education in the world and they will have to live at home. When I got out of college we were weird too but a haircut, and a new suit solved the problem.

djlresearchmore than 1 year ago

I think the biggest issue is we have more jobs tha...

I think the biggest issue is we have more jobs than people to fill them So bad in fact we must import labor from Mexico to work the farms. We must import labor from the former Soviet block to work the tourist resorts. We must import labor from India and China to work at GE Medical and the hospitals. Go to any retail store at the strip malls, supermarkets, and big box stores ---HELP WANTED. We don't need jobs. We already have more than enough. Our real estate market in the burbs is booming. Businesses have record profits. If someone can't find a good job, there is something wrong with them and they are doing things all wrong.

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